Dear Sir,
We are running a SME in Salem,Tamilnadu.
We have close to Rs.1.5 Crore purchase every month, which is totally domestic purchase within our State @ 5%. So total VAT amount is close to Rs.750000, we pay every month to our vendors.
While our Sales is 80% in India to other states and 20% Exports, we have nil sales in our state Tamilnadu.
So while selling in India, say for our monthly turn over, we have about Rs.1.6 Crores of Local Sales against 2% CST, so we get Rs.320000 from CST income approx, while for Export, it's a tax free sale.
So we have huge VAT Input Credit with us, which we cannot do anything with that rather than just adjustment.
Our Input VAT Credit worth Rs.48 Lakhs expired this financial year, which was older than 36 months, this is an unnecessarily huge loss to our company.
Please give us any solution that, is there any way to recover this Input VAT Credit Refund by Cash or Cheque from Sales Tax Dept on Quaterly or yearly basis??
Look forward to hear you soon.
Best Regards,
P.S.
CEO
CAclubindia
